ISLAMABAD: The federal government has decided not to increase taxes in the upcoming budget.
The government might take some measures to provide relief to business community and there would be no tax to be imposes in the budget for the next fiscal year, discussion with the officials of Federal Board of Revenue (FBR) revealed on Thursday.
Minister of State for Finance Rana Afzal Khan has already clarified that government would present pro-people budget for the next fiscal year 2018-19. “The government will impose limited taxes in budget if needed,” he said the other day.
The government has decided to fix tax collection target at Rs4.5 trillion for the next fiscal year 2018-19 as against Rs4 trillion of the ongoing year.
“The FBR will propose to increase withholding taxes for the non-filers, as it had already done in last few years,” said an official of FBR wishing not to be named. He further said the government would not put any burden on the existing taxpayers of the country.
“The government is seriously considering giving some relief to the salaries class,” the official said and added that government would increase the current income tax exemption threshold of Rs400, 000 per annum.
“The government might consider the proposal of the Overseas Investors Chamber of Commerce and Industry (OICCI) to withdraw super tax in the upcoming budget,” said another official of the FBR. The OICCI has recently demanded removal of super tax at three percent for individual and corporate entities and four percent for banking companies, imposed through Finance Act 2015.
